Willie International Holdings, a Hong Kong-listed firm with a troubled past, has sold a stake in a subsidiary at a loss to a woman indirectly related to Stanley Ho Hung-sun.
On September 30, the company sold a 39.4 per cent stake in its previously fully owned subsidiary Cordoba Homes to Karen Lo Ki-yan for HK$450 million - a 25 per cent discount to Cordoba's net asset value - which resulted in a HK$90 million loss to Willie, the firm said in an announcement to the stock exchange.
Cordoba's assets include residential and commercial properties in Hong Kong, a 20-storey commercial building on the mainland, 'a yacht, artwork, paintings and a 10-carat diamond', said the statement.
Willie, which is involved in property investment, securities, money lending and energy, had a net profit of HK$135.75 million in the first half after consecutive losses from 2004 to last year.
Lo is a member of the family that controls the Vitasoy drinks empire and a sister of Sharen Lo, the wife of Lawrence Ho Yau-lung, the son of Stanley Ho.
From February 2005 to March 2008, Lo was vice-chairman of Hong Kong-listed Heritage International Holdings, which has been a shareholder in Willie since 2005 and now holds a 28 per cent stake in the company.